DTI, CARD renew
P3 partnership with additional P100M for MSME microfinancing
December 21, 2019
MAKATI – The
Department of Trade and Industry (DTI) renewed its partnership with
the Center for Agriculture and Rural Development (CARD), Inc., an
NGO that provides microfinancing loans.
Through a Memorandum of
Understanding signed last 16 December, CARD committed an additional
P100 million of its funds for Pondo sa Pagbabago at Pag-asenso (P3)
program. This brings CARD's total revolving fund for the P3 program
since the partnership began in 2017 to P300 million pesos, which it
will lend out to other beneficiaries to widen the reach of the P3
program to more micro borrowers.
P3 is DTI's program that
provides low-interest, no collateral loans for existing micro,
small, and medium enterprises (MSMEs). The program, managed by Small
Business Corporation (SB Corp), is a response to President Rodrigo
Duterte's directive to combat 5-6 loans. Through P3, entrepreneurs
can borrow amounts from P5,000 to P200,000 from CARD and other
accredited credit delivery partners.
Trade Secretary Ramon
Lopez said that DTI benefits from the partnership since CARD
supplements the P3.5 billion P3 allocation from the government with
their own funds. CARD is also one of the biggest microfinance
institutions in the Philippines, with 7 million borrowers
Founder and Chairman
Emeritus Dr. Jaime Aristotle Alip reported that CARD disbursed P600
million in P3 loans to around 56,000 borrowers since 2017. He also
said that CARD targets to increase its P3 allocation to P100 million
every year to reach 100,000 entrepreneurs.
Signing the agreement are
(from L to R:) SB Corp President Luna Cacanando, DTI Undersecretary
Blesila Lantayona, DTI Secretary Ramon Lopez, CARD Founder Dr. Jaime
Aristotle Alip, CARD Inc President Flordeliza Sarmiento and
Executive Director Jocelyn Dequito.